UK Consumers Taking more loans

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UntitledWhen consumers need to fund purchases but lack the cash to do so by themselves, they often make use of credit. These days, most adults rely on at least some form of loan. From mortgages on their properties to finance agreements on their cars and store cards in shops, there are lots of different types of loan out there.

Meanwhile, many of those who struggle to access finance via other means turn to logbook loans. These arrangements can provide individuals with quick and convenient access to cash, and if they head online, they can use a logbook loans calculator to determine how much money they may be able to get.

Indeed, the number of people using logbook loan calculator applications may be high at present. It seems as though there is considerable demand among UK consumers for credit.

According to the British Bankers’ Association (BBA), lenders are seeing annual growth in credit card and personal loan borrowing for the first time in four years. Credit card borrowing has gone up by 6.7 per cent over the last year, the organisation noted. Meanwhile, personal loan and overdraft borrowing has risen by 5.1 per cent.

The organisation also revealed that consumers spent more on their credit cards than they were paid in August. This represented a break in the trend of more cautious behaviour seen over recent years. The BBA stated that some £8.4 billion of new spending was recorded on credit cards over the 31-day period.

Mortgage approvals also rose in August. Over the month, loans to home buyers hit 38,228, which was the highest level since December 2009. Meanwhile, approvals for remortgaging also increased to 22,665. This was the highest figure since October 2011.

Responding to the findings, BBA statistics director David Dooks said: “These figures suggest that consumer confidence is growing. For the first time in four years, annual growth in household borrowing on credit cards and personal loans has turned positive and mortgages approved for house purchase are also at their highest level since 2009.”

Meanwhile, Mark Harris from SPF Private Clients remarked: “Consumer confidence continues to grow, with more buyers committing to new mortgages.”

However, he went on to state: “Despite talk of a housing bubble, the reality is that we are some way off a sustained recovery, with transactions at far lower levels than at the height of the boom years.”

Many people find it difficult to access finance through credit cards and traditional personal loans. When this is the case, they can turn to logbook loans as an alternative. Whether they need money in order to cover imminent costs or they want to fund a particular purchase, these financial agreements can prove useful.

To find out how much cash they may be able to generate in this way, consumers can head online and take a look at a log book loan calculator. Meanwhile, before they enter into agreements, they should make sure they are dealing with a reputable organisation. This way, they can help to protect their finances and enjoy greater peace of mind.

About  Author:  Anna Longdin is a freelance blogger who has written extensively on the subject of loans for a number of sites, including Varooma.

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